Renewable heat incentives for households boosted

By Edd Gent

Published Monday, May 20, 2013

The Government has boosted the incentives for householders looking to install renewable heating systems.

The Department of Energy and Climate Change (DECC) has announced today that money off vouchers available under the Renewable Heat Premium Payment (RHPP) scheme have been increased to £2,300 for ground source heat pumps, £2,000 for biomass boilers, £1,300 for air source heat pumps and £600 for solar thermal systems.

The RHPP scheme, first launched in July 2011, is designed to encourage householders to switch to renewable heat from traditional heating systems by offering money off the cost of the equipment – targeting those living off the gas grid, where most money on bills and carbon can be saved.

Energy and Climate Change Minister Greg Barker said: “Over 10,000 householders have already taken advantage of money off renewable heating kit and we want to see even more consumers stepping up to the plate and getting on board.

“But I want to go even further. I want to kick start this exciting new market for consumer renewable heat technologies. This time limited, big increase in the value of vouchers for hardworking people who want to do something positive to install money saving green heating in their homes, should be a real boost for this growing green sector.”

The scheme was extended in March this year until the end of March 2014 ahead of the launch of a Renewable Heat Incentive for householders, with around £12m up for grabs, and incentives being doubled in most cases.

Alongside changes to the voucher values, householders will now be required to undertake a Green Deal assessment before submitting a claim to the Energy Saving Trust to redeem their voucher.

This will help householders think about how renewable heat could fit with energy efficiency improvements for their home and ensure they are advised on choosing the right technology for them.

The additional voucher values are intended to reflect the cost of a Green Deal assessment, as well as the cost of getting these technologies installed in homes. Householders can also use the Green Deal to pay for some of the cost through savings on their energy bill.

The increased voucher values and Green Deal assessment requirement will kick in for any applications submitted from today onwards.

Renewable Energy Association chief executive Gaynor Hartnell said: “It’s welcome that these grants are being continued and the levels increased. They need to stay in place until the proper heat payment scheme for householders commences.

“This has been delayed on a number of occasions and we hope this will be the last time this stop-gap measure is needed.”